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The following figures and ratios are related to a company: Credit sales for the year- ₹ 30,00,000 Gross Profit ratio- 25% Fixed Assets turnover (based on cost of goods sold)- 1.5 Stock turnover (based on cost of goods sold)- 6 Quick Ratio- 1:1 Current ratio- 1.5:1 Debtors collection period- 2 months Reserve and surplus to share capital- 0.6:1 Capital Gearing ratio- 0.5 Fixed assets to net worth- 1.20 :1 You are required to prepare balance sheet of the company on the basis of above details.

The following figures and ratios are related to a company: Credit sales for the year- ₹ 30,00,000 Gross Profit ratio- 25% Fixed Assets turnover (based on cost of goods sold)- 1.5 Stock turnover (based on cost of goods sold)- 6 Quick Ratio- 1:1 Current ratio- 1.5:1 Debtors collection period- 2 months Reserve and surplus to share capital- 0.6:1 Capital Gearing ratio- 0.5 Fixed assets to net worth- 1.20 :1 You are required to prepare balance sheet of the company on the basis of above details.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter3: Evaluation Of Financial Performance
Section: Chapter Questions
Problem 19P
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The following figures and ratios are related to a company:

  1. Credit sales for the year- ₹ 30,00,000
  2. Gross Profit ratio- 25%
  3. Fixed Assets turnover (based on cost of goods sold)- 1.5
  4. Stock turnover (based on cost of goods sold)- 6
  5. Quick Ratio- 1:1
  6. Current ratio- 1.5:1
  7. Debtors collection period- 2 months
  8. Reserve and surplus to share capital- 0.6:1
  9. Capital Gearing ratio- 0.5
  10. Fixed assets to net worth- 1.20 :1

You are required to prepare balance sheet of the company on the basis of above details.

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